Members of Parliament have called for representation of workers, employers and government on the Rwanda Social Security Board’s (RSSB) decision-making body, arguing that inclusive governance is critical to the long-term sustainability of the public pension scheme. The appeal was made on Tuesday, January 27, during a session of the Parliamentary Committee on Social Affairs, with officials from the Ministry of Finance and Economic Planning (MINECOFIN). It was reviewing findings from a performance audit by the Auditor General of State Finances on the management of the public pension scheme between July 2015 and March 2025. RSSB manages the country’s public pension scheme. The call follows repeated requests from workers’ unions and pensioners’ associations for representation on RSSB’s Board of Directors, arguing that this would ensure their voices are heard in decisions on how pension funds are managed, ultimately improving members’ welfare. ALSO READ: Pensioners seek representation on RSSB board According to the law establishing RSSB, its Board of Directors is composed of at least nine members appointed by Presidential Order, including a Chairperson and a Deputy Chairperson. The members are selected on the basis of their competence and expertise. Their term of office is five years and may be renewed only once. MP Yvonne Mujawabega noted that the board lacks explicit tripartite representation—workers, employers, and government—as recommended under international standards such as those of the International Labour Organization (ILO) and the International Social Security Association (ISSA). While RSSB board is responsible for overseeing investments, she said, international best practices require that contributors to the scheme—employees and employers—as well as the government, which acts both as an employer and guarantor, should be represented at the board level. Currently, she pointed out, this is not clearly stated in the current law. “Even if it is not written into the law, Rwanda should still align with best international practices,” she said. ALSO RAD: Trade unions urge review of salaries Mujawabega questioned how workers and employers play a role in major decisions affecting their money, particularly investment decisions and policy changes such as the recent increase in pension contributions that took effect in January 2025, which she said caught some contributors by surprise. As a result, pension contribution rate rose from 6 per cent of an employee’s basic salary to 12 per cent of their gross salary. “How are contributors involved in decisions concerning their own funds?” Mujawabega asked. “And if they are not sufficiently involved, how can this be corrected?” ALSO READ: Increasing pension benefits will offset effects of inflation - retirees Board reform on the table In response, the Minister of Finance and Economic Planning, Yusuf Murangwa, acknowledged gaps in RSSB board representation and confirmed that reforms are under consideration for it to be more inclusive. “As institutions like RSSB take on greater responsibilities, their boards must include competent people who also represent all stakeholders concerned,” Murangwa said. “The time has come to reform the RSSB board.” ALSO READ: Six things you should know about new pension reforms Sustainability concerns beyond contribution hikes Mujawabega also raised concerns about the implementation of recommendations from actuarial evaluations aimed at ensuring the financial sustainability of the pension scheme. While she acknowledged progress in areas such as increasing pension contributions – raising the early retirement age from 55 to 60 under the 2015 pension law – and adjusting pension calculation periods, she said other critical measures were lagging behind. These include improving investment performance, expanding pension coverage, enforcing compliance among institutions with contribution arrears, and maximising returns on investments. “You see strong enforcement when it comes to contributors—raising contributions or increasing retirement age—but weaker effort on the side of the government (RSSB) in areas like investments,” Mujawabega said, pointing out that true sustainability requires all these measures to move together. Questions on benefits and services MP Christine Mukabunani focused on RSSB’s profitability and whether its improved investment performance translates into better benefits for members. With pension contributions increased – effective January 2025 – she asked whether RSSB plans to expand health insurance services, cover treatments currently excluded, or increase pension benefits over time to reflect the rising cost of living. “As RSSB grows through investments and higher contributions, will members see improved services and better pensions?” she asked. ALSO READ: Retirees upbeat as pension benefits increase by 61% Murangwa said the increase in pension contributions was necessary to safeguard the scheme’s sustainability. He underscored that RSSB’s top priority is to ensure retirees receive pensions that grow in real value, rather than simply recovering nominal contributions eroded by inflation and currency depreciation. He also said that RSSB’s growth, including increased contributions from members, has begun to benefit members through expanded health service coverage and increased pension benefits for retirees. Addressing concerns about potential investment losses, the minister said assessments show that RSSB’s investments remain profitable overall at a macro level.
